VW Looks to Improve Owner Loyalty

Volkswagen may be hip, but its owners don’t seem to stick around for a second purchase. The company is pushing to raise its owner retention, which is at a dismal 29.3%; the industry average is 49.6%. That means people that buy VWs aren’t coming back, for a variety of reasons. Some experts say it’s the company’s poor reliability combined with a lull in new products during the late 1990s and early 2000s that has led the current situation.

How will the company fight back? It seems a new website and more owner-oriented events like a recent enthusiast rally in New Jersey are the main weapons in VW’s marketing arsenal. We’d guess that improving reliability and offering more products that fit the VW image would work better, but that’s just us.

[Lusting for Loyalty, AutoWeek]

Comments

I was considering buying a VW diesel, but I changed my mind when I read about VW's poor reliability in Consumer Reports. So instead I'm now waiting for Honda's new diesels.

VW, make your cars more reliable, and I will reconsider.

don't be so reassured that honda will make this right, don't confuse rat-fur interiors for reliability...

VW needs to drastically improve their reliability if they want to increase owner loyalty. I will not consider a VW/Audi product due to bad experiences with them. I also experienced some of the worst service I have ever seen at the local VW dealers. The franchise laws in the US make it difficult to cull out the shoddy dealers, but it needs to be done.

I fit into this category- I am in the 70.7% that did not purchase a second VW when my Passat lease was up. The 2003 Passat GLS was a fine car, but the reason we did not stay within the VW fold really has more to do with perceived value than the quality of the machine. The car started everyday, got good fuel economy, and never required extra trips to the dealer. However, what VW markets and what VW produces are two different worlds. It was my experience that the perceived value and real value are worlds apart- essentially, the premium paid to drive a Passat was not worth the extra cost over an equivalent Japanese branded car. Secondly, a new Passat 3.6 wagon is approaching $40K, which is a great deal of money for a glorified Jetta. I left VW and will most likely never go back. I left my dealership with a leftover Mazda 6 wagon and $15K in my pocket.

LOYALTY?!
LOL! lets talk loyalty...what happened to the days when VW's were afordable? who betrayed who? now there seems to be some superiority complex, these germans seem to believe that i would consider buying an overpriced simularly equiped 5 cylinder jetta over a sleek 6 cylinder accord.
that coupled with electronic gremlins that have seemed to plague VW/AUDI since the beginning of time will only contribute to the brands edmise.

I had the desire to buy the new VW RABBIT. But was unimpressed when I found ou they want to offer a inline 5 Motor. What in the hell for? I have owned a 1985 VW GTI am now the owner of a 1999 VW Jetta VR6 Which took me a while to find the right parts for it. Gotta order poarts for a 2000 VW Jetta VR6. I bought the car Used But hey can't complain for $5K hahahaha. if I wan to spend 30K on a car will be a Acura TL....Enough Said

For the past year my buying interest included VW, but they are smaller cars that cost more and have a poor reliability report. Put a Passat or Jetta next to either a Camry or Accord and the Asian brands beat VW hands down. VW does have some inovation that the Asians don't have. But its not enough to overcome their expensive cars and poor reliability. VW's were once known for a trustworthy car, what happened?

Tony

I'll gladly buy another VW after they send me a check for the $5,000, that's right $5,000, that I spent maintaining my 2001 Passat for the past 18 months! Unfortunately I got in so deep with expenses that I couldn't afford to cut the p.o.s. loose. And to think it has less than 60k and I'm the original owner. I knew my brother was right when he said I should go for the Accord V6. What a costly mistake I made.

VW = Never Again

The writing's on the wall for this one. Nothing makes people abandon a brand more than reliability problems. As reflected in comments above, it also results in rapid depreciation and terrible resale value. Audis and VWs have been all but frozen out of the Cars.com Best Bets in the past couple years, and this is exactly why. --JW

I made two mistakes (03 Passat, 1st wife) in my life and thankfully I've been able to correct both of them. I purchased a used '01 Lexus ES and recently married a former Miss North Carolina. I don't know what was worse, my ex lying to me or the VW dealer lying to me. At least it seamed like the VW dealer was much better at it. Anyone who buys a VW is clearly asking for trouble if they tend to keep the car more than 2-3 years.

I have to agree that VW is no longer the respected brand that it once was years ago. My 2001 Jetta 1.8T was a complete nightmare. It was constantly in the shop and the repairs are cost a fortune. How does a transmission go out when the car is only 5yrs old??? I will never never buy a VW again and have told everybody I know not to buy one.

VW=CRAP!

VW's only got the diesel power plants going for it, but with Toyota/Honda's new diesel engines, I guess you can chalk an additional point for Team Japan...

I was considering the purchase of a TDI Golf because of the fuel economy. However, I have found too much information about how unreliable VW's are and I drive 50k miles a year. I am now shopping for a 1991-94 Nissan Sentra 1.6/5 speed instead. They get 32mpg city and are very inexpensive to repair. Parts abound in junkyards and the car is still sold new in Mexico. It's a shame because I think the Golf is a nicer car overall but I just can't justify paying good money for a car that will not be reliable for at least 200k miles. I know a Nissan will because of past experience and the 275k on the one I now have and have owned since new.

We just bought a 2007 "City" Jetta (Mk4 style only available in Canada). We've put on 40,000 km's in the ensuing year with no problems whatsoever. We seem to have lucked out with our dealership - that being Queensway VW in Toronto. The service people are very accomodating and the mechanics eventually get it right.

We've owned four Volkswagens - a '79 GTI (Mk1), '90 Jetta GL (Mk2), '92 Jetta GL (Mk2), and an '07 Jetta "City" (Mk4) and they've all been great cars to drive. I don't know if they have more or less problems than any other car on the road - certainly not as bad as a British car! I can't say I would buy another VW though, because their newer (Mk5) styling is too Japanese for me. The new Jetta looks like a Toyota Corolla and the Golf like a Civic / Matrix.

Although, if they do go back to European styling for the Mk6's I'd certainly consider it.

I purchased a 2000 Gulf auto TDI 2 1/2 years ago, with 72K. I now have 128K on it with no real problems. Highway mileage ranges from 55 at 55mph to 43 at 80mph. I am in my late 70s and drive up to 900 miles in a day without feeling tired. What is not to love.

I have two VWs and my brother has two also. We will never buy VWs again. The cost of maintenance is incredibly high. I was just quoted $1300 for a coil and ignition wires.

We are going to dump all four of these cars as they don't honor warranty (trying to say ignition parts are not part of the drivetrain) and charged my brother for parts on a recall.

I have owned three VW's in the last 18 years.

Their cars have gotten progressively unreliable and increasingly expensive to repair and maintain over time!! The latest one is a VW beetle convertible, 2004 model. After only 5+ years the tiptronic transmission is about to die on me...a $6,000, yes a six thousand dollar repair job!!! I have also already spent about $6,000 in repairs on general maintenance over the last 2 1/2 years out of warranty!!.....The latest was $1,350 for a new alternator, battery and a new belt!!!....wear'n'tear things you may expect to spend about $350 for!!

Others in my family were VW customers (especially the Beetle) since 1961!....I counted 9 or 10 VW's over the years in my memory.....

None of those relatives currently own VW's, and I am on my very last one. I will absolutely never, ever buy another VW.....
I will never buy another VW because it is unaffordable to maintain and repair. I just went out and bought a brand new $22,000 car that was recommended by Consumer’s Report and it absolutely was not a VW!

Hopefully VW will learn that they are losing long-term customers like me in droves and dramatically improve the reliability of their cars.

VW had better get their maintenance and repair costs in line with their customers pockets (i.e. reduce costs by 75% to 90%....i.e. 1/4th of current 5-yr repair bills), or they will go into the dustbin of American automotive history like Chrysler and GM are about to do, and De Soto, Packard, and Studebaker did in the past!!.....I am one formerly loyal customer who will never come back because I got badly burned by excessive repair bills!!